South Korea has revived the ‘Yeouido Grim Reaper’ financial crimes task force to investigate the collapse of Terra’s (CRYPTO: LUNA) stablecoin TerraUSD (CRYPTO: UST).
What Happened: According to a report from local news publication SBS, the Yeouido Grim Reaper team was officially reinstated on Wednesday after disbanding over two years ago.
The task force consists of 48 people made up of seven prosecutors and other executives serving in the Financial Services Commission and the Financial Supervisory Service.
The group will look into the events surrounding Terra’s demise and the extent of investor damage caused.
See Also: IS TERRA (LUNA) DEAD?
Terra’s market cap fell from $41 billion to under $950 million over one week. Reports estimate at least 280,000 domestic investors have been burned by the project’s sudden demise.
SBS reported that these investors are taking group action against Do Kwon and preparing a class action lawsuit demanding the seizure of the Terra founder’s assets and property.
And next week, a Korean group "Victims of Luna, UST coins" is filing a lawsuit and petition against co founders Do and Shin for fraud and for conducting illegal fund-raising business. The group currently has over 1100 members.— Doo | StableNode @Permisionless (@DooWanNam) May 18, 2022
Price Action: The leading digital asset Bitcoin (CRYPTO: BTC) fell to a low of $26,350 last week after the collapse of Terra’s stablecoin. The second-largest cryptocurrency, Ethereum (CRYPTO: ETH), also fell as low as $1,707 last week.
© 2022 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.